Paterson Education Foundation Inc
Paterson Education Foundation: Strong Program Spending, but Declining Assets Raise Questions
EIN: 222464316 · Paterson, NJ · Updated: 2026-04-04
| Metric | Value |
|---|---|
| Total Revenue | $1.1M |
| Total Expenses | $1.1M |
| Program Spending | 85% |
| CEO/Top Officer Pay | $0 |
| Net Assets | $186K |
| Transparency Score | 75/100 |
Is Paterson Education Foundation Inc Legit?
Some Concerns
Assessment based on IRS 990 filings, spending patterns, and AI analysis. Not a guarantee of legitimacy. Full charity check →
Paterson Education Foundation Inc directs 85% of its spending to programs. This exceeds the industry benchmark of 65%, indicating strong mission focus.
About Paterson Education Foundation Inc
Paterson Education Foundation Inc (EIN: 222464316) is a nonprofit organization based in Paterson, NJ. The organization reported total revenue of $1.1M and total assets of $415K according to its most recent IRS 990 filing. This transparency report provides an AI-powered analysis of Paterson Education Foundation Inc's financial health, spending patterns, executive compensation, and overall mission effectiveness based on publicly available IRS data.
Organization Overview
Paterson Education Foundation Inc is a mid-size nonprofit that has been operating for 40 years, with 13 years of IRS 990 filings on record (2011–2023). Revenue has grown at a compound annual rate of 6.5%.
Key Financial Metrics (2023)
From the most recent IRS 990 filing on record:
| Total Revenue | $1.1M |
| Total Expenses | $1.1M |
| Surplus / Deficit | +$14K |
| Total Assets | $228K |
| Total Liabilities | $42K |
| Net Assets | $186K |
| Operating Margin | 1.2% |
| Debt-to-Asset Ratio | 18.4% |
| Months of Reserves | 2.4 months |
Financial Health Grade: A
In 2023, Paterson Education Foundation Inc reported a surplus of $14K with revenue exceeding expenses, holds 2.4 months of operating reserves (limited), has a debt-to-asset ratio of 18.4% (very low leverage).
Financial Trends
Over 13 years of filings (2011–2023), Paterson Education Foundation Inc's revenue has grown at a compound annual growth rate (CAGR) of 6.5%.
| Year | Revenue Change | Expense Change | Asset Change |
|---|---|---|---|
| 2023 | +18.5% | +20.4% | +32.1% |
| 2022 | +28.2% | +30.4% | -14.1% |
| 2021 | +77.9% | +52.4% | +68.7% |
| 2020 | +11.9% | -16.8% | +6.2% |
| 2019 | -40.6% | +14.2% | -62.6% |
IRS Tax-Exempt Classification
| IRS Classification Codes | 2000 |
| IRS Ruling Date | 1986 |
Classification data from ProPublica Nonprofit Explorer. Additional BMF data may be available after enrichment.
AI Transparency Report
Mission Effectiveness Score
NonprofitSpending's AI analysis rates Paterson Education Foundation Inc with a Mission Score of 75 out of 100 (Good). This score reflects the organization's overall financial transparency, program spending efficiency, and governance indicators derived from IRS 990 public filings.
Spending Breakdown
- admin: 10%
- programs: 85%
- fundraising: 5%
According to IRS 990 filings, Paterson Education Foundation Inc allocates its expenses as follows: admin: 10%, programs: 85%, fundraising: 5%. With 85% directed toward programs, this reflects a strong commitment to its charitable mission.
Key Financial Metrics (2023)
From the most recent IRS 990 filing on record:
- The organization reported a surplus of $14K, with revenue exceeding expenses.
- Debt-to-asset ratio: 18.4%.
Executive Compensation Analysis
Executive compensation is reported as $0 across all available filings, which is highly uncommon and warrants further investigation into how leadership is compensated or if this is a reporting anomaly.
Executive compensation data is sourced from IRS 990 filings, which require nonprofits to disclose the compensation of officers, directors, trustees, and key employees. NonprofitSpending analyzes this data relative to the organization's total revenue and sector benchmarks to assess whether executive pay is reasonable.
Red Flags
The following concerns were identified during AI analysis of Paterson Education Foundation Inc's IRS 990 filings:
- Total assets have significantly declined from $300,045 in 2018 to $227,943 in 2023, despite increasing revenues in recent years.
- The consistent reporting of $0 for officer compensation across all years is a significant red flag, suggesting potential misreporting or an unusual operational structure.
- Liabilities have fluctuated significantly, from $52 in 2019 to $41,847 in 2023, indicating potential financial instability or changes in operational debt.
Strengths
The following positive indicators were identified for Paterson Education Foundation Inc:
- The organization consistently allocates a high percentage of expenses to programs, indicating a strong commitment to its mission.
- Revenue has shown a positive trend in recent years, increasing from $375,496 in 2019 to $1,135,298 in 2023.
- The organization has maintained a positive net asset position, despite fluctuations in total assets.
Frequently Asked Questions about Paterson Education Foundation Inc
Is Paterson Education Foundation Inc a legitimate charity?
Paterson Education Foundation Inc (EIN: 222464316) is a registered tax-exempt nonprofit based in New Jersey. Our AI analysis gives it a Mission Score of 75/100. It has 13 years of IRS 990 filings on record. Total revenue: $1.1M. 3 red flags identified. 3 strengths noted. Financial health grade: A.
How does Paterson Education Foundation Inc spend its money?
Paterson Education Foundation Inc directs 85% of its spending to programs and services. Fundraising costs 5%. This exceeds the 65% industry benchmark.
Are donations to Paterson Education Foundation Inc tax-deductible?
Paterson Education Foundation Inc is registered as a tax-exempt nonprofit (EIN: 222464316). Donations to most 501(c)(3) organizations are tax-deductible. Consult a tax professional for your specific situation.
How much does the Paterson Education Foundation Inc CEO make?
Paterson Education Foundation Inc's highest-compensated officer earns $0 annually. The organization reported $1.1M in total revenue. Executive compensation data is disclosed in IRS 990 filings.
What percentage of Paterson Education Foundation Inc's spending goes to programs?
Paterson Education Foundation Inc directs 85% to programs, 5% to fundraising. This exceeds the 65% industry benchmark for efficient nonprofits.
Where is Paterson Education Foundation Inc located?
Paterson Education Foundation Inc is headquartered in Paterson, New Jersey and files with the IRS under EIN 222464316.
How many years of IRS 990 filings does Paterson Education Foundation Inc have?
Paterson Education Foundation Inc has 13 years of IRS 990 filings on record at NonprofitSpending. This extensive filing history provides a strong basis for evaluating long-term financial trends. The most recent filing shows $1.1M in total revenue.
What does Paterson Education Foundation Inc do?
Paterson Education Foundation Inc is a nonprofit organization in the Unknown sector, located in Paterson, New Jersey. It is classified under NTEE code Unknown.
How much revenue does Paterson Education Foundation Inc have?
Paterson Education Foundation Inc reported total revenue of $1,146,549. Based on 13 IRS 990 filings on record.
What are Paterson Education Foundation Inc's total assets?
Paterson Education Foundation Inc holds total assets of $415,481 as reported in IRS 990 filings.
Where is Paterson Education Foundation Inc located?
Paterson Education Foundation Inc is based in Paterson, New Jersey.
What is Paterson Education Foundation Inc's EIN?
Paterson Education Foundation Inc's Employer Identification Number (EIN) is 222464316. This is the unique tax ID assigned by the IRS for tax-exempt organizations.
What type of nonprofit is Paterson Education Foundation Inc?
Paterson Education Foundation Inc is classified under NTEE code Unknown (Unknown).
Is Paterson Education Foundation Inc a registered 501(c)(3)?
Paterson Education Foundation Inc appears in IRS records (EIN: 222464316). Check the IRS Tax Exempt Organization Search for the most current determination letter status.
Does Paterson Education Foundation Inc file IRS Form 990?
Yes, Paterson Education Foundation Inc has 13 IRS Form 990 filings on record. The most recent covers tax period 202306.
What was Paterson Education Foundation Inc's revenue in 2023?
In the 202306 filing period, Paterson Education Foundation Inc reported total revenue of $1,135,298, total expenses of $1,121,374, and net assets of $227,943.
Is Paterson Education Foundation Inc's revenue growing or declining?
Paterson Education Foundation Inc's revenue is growing. Revenue went from $958,241 (202206) to $1,135,298 (202306), a +18.5% change. Based on 13 filings on record.
What is Paterson Education Foundation Inc's most recent 990 filing?
The most recent IRS Form 990 filing for Paterson Education Foundation Inc covers tax period 202306. It shows revenue of $1,135,298, expenses of $1,121,374, total assets of $227,943, and liabilities of $41,847.
How much does Paterson Education Foundation Inc spend on programs vs administration?
Based on IRS 990 analysis, Paterson Education Foundation Inc allocates approximately 85% of expenses to program services, 10% to administrative costs, and 5% to fundraising. This indicates strong program focus.
Is Paterson Education Foundation Inc a trustworthy charity?
Based on AI analysis of IRS 990 data, Paterson Education Foundation Inc appears trustworthy. Mission Score: 75/100 (Good). 3 red flags identified. 3 strengths noted.
What are the red flags for Paterson Education Foundation Inc?
The following concerns were identified: Total assets have significantly declined from $300,045 in 2018 to $227,943 in 2023, despite increasing revenues in recent years.. The consistent reporting of $0 for officer compensation across all years is a significant red flag, suggesting potential misreporting or an unusual operational structure.. Liabilities have fluctuated significantly, from $52 in 2019 to $41,847 in 2023, indicating potential financial instability or changes in operational debt.. These flags are based on automated analysis of IRS 990 public filings and should be verified independently.
What are Paterson Education Foundation Inc's strengths?
Positive indicators for Paterson Education Foundation Inc include: The organization consistently allocates a high percentage of expenses to programs, indicating a strong commitment to its mission.. Revenue has shown a positive trend in recent years, increasing from $375,496 in 2019 to $1,135,298 in 2023.. The organization has maintained a positive net asset position, despite fluctuations in total assets.. These findings are derived from AI analysis of the organization's financial filings.
How does Paterson Education Foundation Inc compensate executives?
Executive compensation is reported as $0 across all available filings, which is highly uncommon and warrants further investigation into how leadership is compensated or if this is a reporting anomaly. Executive compensation data is sourced from IRS 990 filings, which require disclosure of officer, director, and key employee pay.
Given the reported $0 executive compensation, how does the Paterson Education Foundation attract and retain leadership, and what is the actual mechanism for compensating key personnel?
The consistent reporting of $0 for executive compensation across all available filings (2016-2023) is highly unusual for an organization with revenues exceeding $1 million. This suggests either a unique volunteer-based leadership model, compensation being paid through a related entity not reflected in these filings, or a reporting error. Further inquiry into their Form 990, Part VII, Section A, Line 1a and 1b, and Schedule J would be necessary to understand the true compensation structure.
What factors contributed to the significant decline in total assets from $300,045 in 2018 to $227,943 in 2023, especially during a period of increasing revenue?
While revenue has generally increased, the decline in total assets suggests that expenses may have outpaced revenue growth, or there may have been significant non-expense outflows such as investments or debt repayments not fully offset by new assets. For example, in 2020, expenses ($468,713) exceeded revenue ($420,070), contributing to asset reduction. A detailed review of their balance sheet and cash flow statements would be needed to pinpoint the exact causes.
Filing History
IRS 990 filing history for Paterson Education Foundation Inc showing financial trends over 13 years of public records:
Over 13 years of IRS 990 filings (2011–2023), Paterson Education Foundation Inc's revenue has grown by 112.4%, moving from $534K to $1.1M. Total assets decreased by 35.2% over the same period, from $352K to $228K. Total functional expenses rose by 87.7%, from $597K to $1.1M. In its most recent filing year (2023), Paterson Education Foundation Inc reported a surplus of $14K, with revenue exceeding expenses. The organization holds $42K in liabilities against $228K in assets (debt-to-asset ratio: 18.4%), resulting in net assets of $186K.
| Year | Revenue | Expenses | Assets | Liabilities | Officer Comp. % | |
|---|---|---|---|---|---|---|
| 2023 | $1.1M | $1.1M | $228K | $42K | — | View 990 |
| 2022 | $958K | $931K | $173K | $0 | — | View 990 |
| 2021 | $747K | $714K | $201K | $53K | — | View 990 |
| 2020 | $420K | $469K | $119K | $5K | — | View 990 |
| 2019 | $375K | $563K | $112K | $52 | — | View 990 |
| 2018 | $633K | $493K | $300K | $1K | — | View 990 |
| 2017 | $375K | $494K | $164K | $4K | — | View 990 |
| 2016 | $511K | $468K | $291K | $11K | — | View 990 |
| 2015 | $572K | $539K | $246K | $10K | — | View 990 |
| 2014 | $511K | $552K | $207K | $4K | — | View 990 |
| 2013 | $428K | $533K | $249K | $6K | — | View 990 |
| 2012 | $515K | $508K | $352K | $4K | — | View 990 |
| 2011 | $534K | $597K | $352K | $14K | — | View 990 |
Year-by-Year Financial Summary
- 2023: Revenue of $1.1M, expenses of $1.1M, and assets of $228K (revenue +18.5% year-over-year).
- 2022: Revenue of $958K, expenses of $931K, and assets of $173K (revenue +28.2% year-over-year).
- 2021: Revenue of $747K, expenses of $714K, and assets of $201K (revenue +77.9% year-over-year).
- 2020: Revenue of $420K, expenses of $469K, and assets of $119K (revenue +11.9% year-over-year).
- 2019: Revenue of $375K, expenses of $563K, and assets of $112K (revenue -40.6% year-over-year).
- 2018: Revenue of $633K, expenses of $493K, and assets of $300K (revenue +68.8% year-over-year).
- 2017: Revenue of $375K, expenses of $494K, and assets of $164K (revenue -26.6% year-over-year).
- 2016: Revenue of $511K, expenses of $468K, and assets of $291K (revenue -10.7% year-over-year).
- 2015: Revenue of $572K, expenses of $539K, and assets of $246K (revenue +11.9% year-over-year).
- 2014: Revenue of $511K, expenses of $552K, and assets of $207K (revenue +19.5% year-over-year).
- 2013: Revenue of $428K, expenses of $533K, and assets of $249K (revenue -17.0% year-over-year).
- 2012: Revenue of $515K, expenses of $508K, and assets of $352K (revenue -3.6% year-over-year).
- 2011: Revenue of $534K, expenses of $597K, and assets of $352K.
View Individual Filing Years
Explore detailed financial data from each IRS 990 filing year for Paterson Education Foundation Inc:
Data Sources and Methodology
This transparency report for Paterson Education Foundation Inc is generated by NonprofitSpending's AI analysis engine. The data is sourced from publicly available IRS 990 filings accessed through the ProPublica Nonprofit Explorer API and IRS electronic filing records. The Mission Score, spending breakdown, and other analytical insights are produced by artificial intelligence and should be used as one of multiple factors when evaluating a nonprofit organization.
IRS 990 forms are annual information returns that most tax-exempt organizations must file with the IRS. These forms provide detailed financial information including revenue, expenses, assets, liabilities, and compensation of officers. NonprofitSpending processes this data to provide accessible transparency reports for donors, researchers, and the general public.
Disclaimer
AI-generated analysis based on IRS public records. Not financial or legal advice. Verify information directly with the organization.